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Posted on Jul 24, 2024

Which is not a risk of relying on agency ratings? a) Rating agencies rarely make mistakes. b) Credit ratings tend to lag the markets pricing

Which is not a risk of relying on agency ratings?

a) Rating agencies rarely make mistakes.

b) Credit ratings tend to lag the markets pricing of credit risk.

c) Credit ratings can change over time. d) Some risks are difficult to capture in ratings such as litigation risk.

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